Kunlun Energy’s Profit Almost Doubles as Oil Prices Rise

By John Duce -
Mar 17, 2011

Kunlun Energy Co., an oil producer
and gas supplier controlled by PetroChina Co., almost doubled
profit last year as crude prices rose.

Net income increased to HK$2.42 billion ($310 million), or
48 Hong Kong cents a share, from HK$1.23 billion, or 27 Hong
Kong cents a share, in 2009, the company said in a statement to
the Hong Kong stock exchange today. Kunlun didn’t release half-
year earnings figures.

Kunlun is the operator and developer of nine oilfields in China, Kazakhstan, Thailand, Peru, Oman, Indonesia and
Azerbaijan. Crude sales rose 1.1 percent to 16.4 million barrels
last year as average oil prices gained 28 percent in New York.

Kunlun’s gas supply business in China contributed HK$372 to
the company’s profit, an increase of 52 percent, the company
said. Natural gas accounted for 53 percent of total revenue last
year, the first time it surpassed sales from the exploration and
production business, according to the statement.

Gas has become “the major growing business of the company
in the future,” Kunlun said.